Why We Invested in Good Monk

The team at Sharrp Ventures is excited to announce our recent investment in Good Monk, a nutrition brand dedicated to offering easy, fuss-free solutions for India's micronutrient deficiency problem. We would like to take you through a few of our key reasons for investing

Mission-Oriented Founders:

The founder Amar, brings credible educational and professional experience from esteemed companies like Mondelez and Diageo. He is a rigorous thinker, very data-driven, and deeply passionate about the venture he is building. His co-founder and wife, Sahiba, shares this passion for solving the problem they have identified. As parents of two, they frequently faced the challenge of incorporating nutrients into their children's diets, especially after they had concerns about their son’s growth.

Amar demonstrates forward-thinking not only in product and brand development but also in team building. He has assembled a seasoned L2 team each bringing over a decade of expertise. Aligned with Amar's vision the team is strategically positioned for the company's future trajectory.

Unique Value Proposition:

Most nutraceutical brands focus on conventional formats like powders, pills, and effervescent tablets, often adding an extra step to daily routines, which can be cumbersome, especially with children. Good Monk addresses this with a unique powdered nutrient mix that acts as a tasteless, colorless, and odorless topper for prepared meals. Each sachet includes a blend of 13+ essential vitamins and herbs such as A, B9, B12, C, D, Lysine, Probiotics, Fibre, Brahmi, Zinc, Ashwagandha, and Iron. The easily soluble powder enhances both liquid and solid foods without altering their characteristics.

Good Monk aims to address nutrient deficiency through its convenient format, aiming to overcome existing gaps in the market as it embarks on its journey to build long-term habits among consumers.

The company targets two primary customer segments:

1) Mothers aim to enhance their children’s nutrition discreetly without altering taste, color, or smell.

2) Individuals aged 50 and above seeking a simplified alternative to multiple vitamin tablets.

Clinically-tested Product:

The company conducted a clinical trial in Bangalore, partnering with an independent third-party agency to assess the impact of their product on 72 participants. The study revealed significant improvements in participants' gut health, immunity, stamina, and micronutrient levels.

Advantages of conducting clinical studies and proving product efficacy include:

1. Enhanced Marketing Credibility: Clinically proven claims can be prominently featured on product packaging and in online marketing, fostering consumer trust, a unique advantage in the market.

2. Targeted Customer Engagement: Claims covering multiple health benefits allow tailored marketing strategies, appealing directly to specific customer needs like gut health, stamina, immunity, and nutrient deficiencies.

3. Strengthened Healthcare Professional Relationships: With proven efficacy, the company can enhance engagement with healthcare professionals like dieticians and nutritionists, pivotal in recommending products and driving sales growth.

Market Dynamics:

1) Increased Awareness about health: Post-COVID, Indian consumers are increasingly health-conscious, prioritizing their macro and micronutrient needs. The EY Future Consumer Index Survey reveals that 82% of Indian respondents now emphasize "healthy" as essential, compared to 57% globally

2) Low Penetration: Functional food and beverage penetration in India lags behind developed economies, with urban penetration at 22.5% and rural at 6.3%. India constitutes merely 2% of the global market, with 90% concentrated in developed regions like the US, Europe, and Japan. This gap presents a significant opportunity for growth in the functional F&B sector within India.

3)?Rise in lifestyle diseases and health concerns: India is experiencing an increase in lifestyle diseases due to factors such as poor diet and sedentary lifestyles, with 268 million people overweight or obese, 20% having high blood pressure, and 9% with diabetes.

4) Pill Fatigue: There is a noticeable trend towards reducing reliance on pills, evidenced by increasing demand for non-pill nutraceuticals like functional shots, bars, power gummies, etc.

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